Acushnet and Nitro Leisure Products have settled a suit out of court. Nitro refurbishes used Titleist golf balls and re-sells them for half to a third of the original retail price. At issue is Nitros actions that involved collecting used balls and subsequently cleaning the balls, and re-painting the original logo. The company had been selling the balls through its own retail outlets called “GolfBallsDirect.com” and “Second Chance.”
In 2002 Nitro filed suit against Acushnet for $23 million, claiming the company was interfering with their business. Acushnet filed a countersuit claiming that consumers were confused by the recycled balls that Nitro Leisure sells. An appellate court previously upheld a lower court's ruling that Nitro had not infringed on the Acushnet patent.
The order allows Nitro to recycle and sell balls, but not to refurbish them by adding a new coat of paint or placing the Titleist name on the balls.
Nitro was paid an undisclosed amount of money along with the settlement.
“It's been amicably resolved,” said Gerald Richman, co-lead counsel for Nitro, in a local paper. “The terms of the settlement are confidential, and we will have no further comment on the lawsuit or its resolution,” said Joe Gomes, communications director for Acushnet, in the same report.
“We are renewing the focus of the recycled aspects of our business,” said Amin C. Khoury, president of Nitro, in a published report, “We will continue to find a way for consumers to not have to spend that kind of money to play golf.”
